: International Market Research at Mayo Clinic - Case Study Example

Business expansion strategy al affiliation Recognizing the significance of International business in the growth of small businesses, our business has to decide on an expansion strategy that would ensure we maintain the market base. Maintaining the market significantly maintains the bottom line profits which significantly supports the expansion. The strategic expansion of our business is achievable through either physical relocation or expansion through new firms in other areas while maintaining the physical location of the mother business.

The expansion should take into account the economic and consumer trends. The two are the best indicators of whether our company maintains competitiveness in the markets or not (Orsino, 1994). The management team should display explicit expertise to cope with the expansion, in case of expansion within the same physical location where hiring of new employees is uneconomical. We will therefore undertake to appraise the proficiency of the management team to ensure that the growth does not outpace the quality of available labor.

The business shall undertake to evaluate the potential impediments to its intended growth. We shall explicitly explore various means of leveraging the associated risks. For instance, we shall license the business in order to minimize the risks associated with having to establish an original company and designing brand new products. In order to expand our business, we will undertake to assess possibility of collaborations with other firms that already offer similar products and services as our own business products own in other regions.

This will foster healthy competition between our firm and provide us with a competitive advantage over non-partners since the market price will be collaboratively determined. Prior to establishment of such partnership, our business will assess the legal implication of such collaboration. The contract between our company and the partner will be legally sealed. This will help maintain intellectual property right to minimize the risk of losing control of our company’s products. The company will engage in product diversification to allow multiple streams of income that will fill seasonal gaps in revenue and increase sales and profit margins (Orsino, 1994).

Expansion of the market base implies that the business will explore new markets .Exploration of fresh markets takes into account market characteristics ranging from age, taste and preferences and the general market size. The business will have to initiate an inventory of the previous performance to establish its potential to cope with the expanded market base. In order to attract more customers from competing businesses, the business will engage in a comprehensive appraisal of the quality of competitors’ products in order to arrive at a clever price that will not necessarily incur losses to the business but rather give it a competitive advantage over the other competing firms.

For instance, in cases where consumers attach quality to price, the pricing will be set to their expectation and the quality too will have to be maintained at high levels to depict direct relationship between the two parameters of price and quality. This will ensure that price and quality reconcile to avoid customer complaints. Customers are the key determinants of business success. Therefore, all activities that aim to expand a business must as well undertake to meet consumers’ satisfaction (Goldman & Nieuwenhuizen, 2006).. The company will undertake to carry out research on possible customer reward programs to foster customer loyalty to the products and services offered by our business.

Designing free samples and advertisements too will foster good business-customer relations, which is ideal for the success of our business.Globalization and expansion of markets is real due to the opportunities created by the improvement in transport and communication that has made trade more practical and efficient. However, despite such progress, it is important for any business to strategically assess the feasibility of such expansion in business operations to leverage possible challenges in their operations over a wider market.

Wider market often portends increased sales volume and consequent increase in profit margin, which is the key objective of any business venture.ReferencesGoldman, G., & Nieuwenhuizen, C. (2006). Strategy: Sustaining competitive advantage in a globalised context. Cape Town: Juta.Orsino, P. S. (1994). Successful business expansion: Practical strategies for planning profitable growth. New York: J. Wiley.